The draft Act was designed by the Ministry of Commerce and Supplies (MoCS) amidst rise in the number of dry ports in the country. It will soon be forwarded to the Cabinet for approval. It is still unknown whether the Act will be promulgated in the form of ordinance.[break]
In the absence of such an authority, the Department of Commerce and Supplies Management (DoCSM) and the Nepal Intermodal Transport Development Board (NITDB) are overseeing dry ports´ operation, management and revenue collection.
Existing Multimodal Transportation Act and regulations framed under it have given limited power to the DoCSM to issues license to operators of dry ports, while the Development Committee Act has provided authority to the NITDB to oversee management of dry ports.
“The DoCSM and the NITDB do not have authority to oversee activities of dry ports in a full-fledged manner,” Sarad Bikram Rana, executive director of the NITDB, told Republica on Saturday.
The proposed Nepal Intermodal Transport Authority, a dry port regulatory body, will end the practice of delegating authority to the DoCSM and the NITDB to regulate dry ports, making it the most powerful body to oversee activities of dry ports.
“Such a body will have the power to grant permission to any firm to construct and operate dry port and fix criteria for service charge at dry ports in the country,” Rana said.
Former Commerce Secretary Purushottam Ojha said the proposed act will pave the way for establishment of the powerful port authority to grant permission for opening of new dry ports, overseeing leasing process and administering operation and maintenance of ports.
Different countries, including India, have already established dry port regulatory body.
Currently, four dry ports are operating in Kakarvitta, Biratnagar, Birgunj, and Bhairawa.
A dry port is under construction in Larcha of Sindhupalchowk district under financial and technical assistance of the Chinese government. Similarly, the government is also preparing to construct a dry port in Dodhara-Chandani area of the far-western region in a bid to boost trade in the country´s most backward region.
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